New research: Taxation of Insurance

The paper "Taxation of Insurance" was published as CESifo Working paper no. 6830The paper is written by Professor Vidar Christiansen.

Abstract

Should we exempt the services of insurance companies from VAT? Addressing this issue, the paper distinguishes between insurance against a general loss of resources and a loss of a specific commodity (property insurance). There is a case for exempting the former kind of insurance, but not the latter. Finally, comparing insurance through a producer warranty with insurance provided separately by an insurance company, it is conceivable that tax exemption of the latter will distort the choice of product quality.

The full article can be accessed here.

Published Dec. 11, 2017 10:00 AM - Last modified Oct. 11, 2018 8:06 PM